Abu Dhabi-headquartered Dolphin Energy has invited contractors to bid for a retendered $418m pipeline construction contract that it first awarded in 2008, according to sources at construction firms in the UAE.

Moscow-based Stroytransgaz won the engineering, procurement, and construction (EPC) contract in July 2008 for a 240-kilometre-long, 48-inch diameter gas pipeline between Taweelah in Abu Dhabi and Qidfa in Fujairah.

On 22 March, Dolphin Energy issued new tender documents, which have been seen by MEED.

Dolphin has already visited the site with potential contractors.

The company in charge of the pipeline has set a bid deadline of mid-April, according to sources with knowledge of the retender.

Contractors say that fears over Stroytransgaz’s ability to meet deadlines set by Dolphin have led the client to retender the project.

“The client has major concerns over the construction milestones,” says one source with knowledge of the discussions.

Another source close to the project says there has been “slippage” in the deadlines set by the client, but Stroytransgaz continues to work to meet its first construction milestone in August.

Contractors who looked at the project in 2008 say a section of the planned pipeline crosses mountains in Fujairah. The terrain in the northern emirate will cause the most problems on the project.

Dolphin Energy has not contacted all of the contractors that originally prequalified to bid for the contract. A list of bidding firms was not available as MEED went to press.

The closest offers to Stroytransgaz in 2008 were submitted by Athens-based Consolidated Contractors International Company (CCC) and Italy’s Snamprogetti and Saipem (MEED 22:2:08).

The extent of work that has been completed by Stroytransgaz on the project is not known. Both Stroytransgaz and Dolphin declined to comment.

Work started on the project in the second quarter of 2008.

As recently as 5 March this year, Stroytransgaz said it had begun welding work on the pipeline and was clearing right-of-way approach roads to the pipeline’s route, having mobilised 200 units of heavy equipment and transport.

The contract covers design, equipment and materials procurement, construction, assembly of the pipeline, and final commissioning, or start-up, of the project.

Dolphin bought the pipeline from Germany’s Salzgitter Mannesmann International in 2008 for more than $200m.

The gas, which originates in Qatar, will serve the Fujairah 2 independent water and power project at Qidfa.